Proposed US-Iran deal involves opening Strait of Hormuz during 60-day ceasefire extension: Report

WASHINGTON – The US and Iran are close to signing a deal involving a 60-day ceasefire extension, during which the Strait of Hormuz would be reopened, Axios reported on May 23, citing a US official.

Under the proposed agreement, Iran would be able to freely sell oil and negotiations would be held on curbing its nuclear programme.

Iran’s Fars news agency said the proposed deal stipulates that Washington and its allies will not attack Tehran and its allies. In return, Iran has pledged to not launch any pre-emptive military attack on the US and its allies.

According to the Axios report, during the 60-day period, the strait would be open with no tolls and Iran would agree to clear the mines it deployed in the waterway to let ships pass freely.

In exchange, as part of the proposed deal, the US would lift its blockade on Iranian ports and issue some sanctions’ waivers to allow Iran to sell oil freely, the report added.

According to Iran’s semi-official Tasnim news agency, a potential deal between Iran and the US stipulates that the number of ships able to transit the Strait of Hormuz would return to the pre-war level within 30 days.

The naval blockade must be completely lifted within 30 days according to a memorandum of understanding, Tasnim said, adding that part of Iran’s frozen funds must be released in the first phase.

The draft agreement also includes commitments from Iran to never pursue nuclear weapons, negotiate a suspension of its uranium enrichment programme and remove its stockpile of highly enriched uranium, the Axios report said.

Iran gave the US through the mediators verbal commitments about the scope of the concessions it is willing to make on suspending enrichment and giving up the nuclear material, two sources told Axios.

The US would also agree to negotiate over lifting sanctions and unfreezing Iranian funds during the 60-day period, the Axios report said. REUTERS